Evening Star Newspaper, December 20, 1931, Page 2

A— MILLS DESGRIBES RELIEF PROPOSAL Tells Senate Committee Re-! construction Measure Is Emergency Insurance. %* The Senate Banking Committee delved yesterday into the needs for Prestdent Hoover's $500,000.000 Reconstruction Corporation in response to the Chief Executive’s plea for speedy action. Undersecretary Mills of the Treasury | cescribed the titanic Federal relief pro- posal as “a very useful instrumentality in meeting any emergency that might | Seia Meanwhile. at the opposite end-of the Capitol. the House approved and sent to the Senate another economic restoration proposal of President Hoover involving &n addition of $100.000.000 to the| capitalization of the 12 Federal land banks. Congressional leaders of both parties had agreed Friday night to give the half billion corporation prompt con- sideration after the Christmas recess. Mr. Hoover made it known that he ted the pool to help in meeting the probiem. but he was informed on before Christmas was im- | is an surance measure more than anything else. Its very existence will have a most beneficial effect.’ The proposal, incorporated in Senate bl No. 1, sponsored by Senator. Walcott, Republican, Connecticut, was advocated also by Gov. George Harri- son of the New York Federal Reserve Bank, in hearings befores a banking subcommittee. Senator Glass, Demo- crat, of Virginia, directed occasional criticism at some of its detail The National Credit Corporation—a mobilization of private capital under- taken at President Hoover's instance last October to strengthen the coun- credit stru also proved a ct for particular inquiry by Senator Bulkley. Democrat. of Ohio. “What can this propesed corporation accomplish.” Bulkley asked, “that can- not be done by the voluntary $500,000.- 000 National Credit Corporation now tence?™ System Cumbersome. conception of the National orporation is that it functions through local clbaring Mills replied. “Loans have got pproved in the first instance ny | local aring house associations. As the banks of the locality have to, in fTec ntee the loans, this sys- t cumbersome.” | mbersome that it hard- | ' asked Bulkley. swered emphatically in the | g it had “a very great t a predominant influence toring the situation in October.” > said that in his official capacity | a case. which he was not at | to reveal, in which results would been most serious but for the credit pool The Ohio Senator sought to show th e Credit Corporation had made only a small amount of loans. Mills said he was unable to give the figures. but Senator Watson, Republi- can, Indiana, who was present, said the amount loaned was $15,000,000, Later Gov. Harrison testified it was $10.000.000. adding that $400,000,000 of the $500.000,000 capital had been sub- scribed. with more coming in, Bulkley also questioned Mills as to why organization of an emergency cor- poration is necessary, suggesting that the loans to strengthen the credit struc- ture be made directly from the Treasury. replied the formation of a cor- ion would be more effective and would avoid Treasury Department book- keeping complications. Senator Glass attacked provisions of the bill which have been interpreted by Gov. Eugene Meyer of the Pederal Re- serve Board as permitting acceptance of the paper by the Fed- ks on the same basis bligations. view that the bill would be to have the baper of non-member banks discounted through the Federal Reserve system. Gov. Meyer. who was present, was °d by Chairman Walcott to com- on this point and said that un- > present law the paper of non- member banks may be accepted on ap- proval of the Federal Reserve Board. Glass Opposes Plan. ss. a co-autbor of the Federal e act, asserted its loan provi- had been “widely perverted” by nes for investment on the Stock The Virginia Senator is opposed to broadening the Federal Reserve discount base as sug- gested by President Hoover Danie! Willard, president of the Bal- | timore & Ohio Railroad, has been as ed to appear before the Senate Banking Subcommittee tomorrow in hearings on the finance corporation, Other witnesses called for tomorrow are Henry Brucre, an officer of the Bank, New York: | Irving Trust Co. New . Parker Willis, New Credit © 1 York, economis On Tuesday the committee plans to ntatives of the insur- . aid for which also is sought through the proposed corpora- tion. They are Frederick C. Ecker, president of the Metropolitan Life In- surance Co. New York, and Morgan Brainard, president of the Aetna Life | Insurance Co., Hartford, Conn. MOONEY CASE DATA SOUGHT BY SENATE: Cutting, Walsh of Montana and Costigan Ask for Wicker- sham Reports. By the Associated Press THE SUNDPAY STAR, WASHLVGTON, D. .. DECEMBER 20, Vet Marchers See Patman CALL ON REPRESENTATIVE AT CAPITOL. EPRESENTATIVE WRIGHT PATMAN of Toxas yesterday received a petition for an immediate cash payment of veter: tion cortificates from a commit hore from Philadelphia. do not understand received enough favorable publicity In the photo, left to right. are O'Brien, Mr. Patman and Howard Raines DEADLOCK GRIPS YOUNG PLAN CROUP Three Preponents of Debts’ Canceliation Refuse to Sidestep. S By the Associated Press BASEL. Switzerland, December 19.— The deadlock which threatens to keep the Young plan experts on the job until after Christmas remained un- broken tonight after a three-hour secret session Several members of the committee who advocate cancellation of repara- tions as a means of rejuvenating the world’s business refused to sidestep their convictions in favor of any mea- sure they considered temporary, it was learned on good authority. The members who have taken a de- cided stand for cancellation are Hendryk Colijn of Holland, Otto Rydbeck of Sweden and R. G. Bind- schelder of Switzerland. Meet in Apartment. The eleven economists apd bankers who make up the committeé that must pass on Germany's capacity to pay reparations held their sceret meeting in the hotel suite of Alberto Beneduce of Ttaly, the chairman. Strict orders were given attendants to drop no hints about what they were doing. Even some of the secondary members of the delegation have been kept in ignorance of what was going on. These precautions marked a change in the committee’s policy. for until yesterday information had been given out from official sources. During the two weeks the experts have been in session they have ex- amined Germany's budget, the foreign trade balance, the condition of the rail- ways, the situation of the Reichsbank, German holdings abroad and the debts Germany owes abroad. One of the most startling revelations was the incapacity—which the experts accepted without question—of the Ger- man railways to pay the unconditional portion of reparations, amounting to $46.500.000, demanded from them under the Young plan. Reich Taxed to Limit. German figures showed the Reich’s budget to be weak and the country to be taxed to the limit, The foreign trade balance was good, but German spokesmen said it was likely to fall below the amount needed to pay ex- ternal debts. A deficit of from $325,090,000 to $362,500,000 was found between what the world owes Germany and what Ger- many owes the world, not including reparations. Whether the experts agree that Ger- many will be unable to make enough money from foreign trade during 1932 to make up her deficits remains to be told in the final report, over which the battle tonight raged. WEEK OF PARLEY ENDS. Agreement Soen of German Credit Group Seems Unlikely. BERLIN, December 19 (). —Tonight ended a week of negotiations by a group | of bankers considering credits {rozen in Germany, but it still appeared unlikely they could agree on any method of pro- cedure before Christmas. Mr. Patman told the marchers manv people the veterans’' plight because the matter has not! k ' adjusted compensa- | tee of 26 former soldiers who marched Paul M. Schell, Jack Ludwig. Willlam —Star Staff Photo. | 11 . ARMS POLIGY FORMS FOR GENEVA Moral Influence to Per- suade Europe. (Continued From First Page) | charges if g1 | not have the courage | these charges, I shall offer such a res- | Johnson resolution into the flotation of Delegation Will Have Only, MFADDEN ASSAILS MELLON ON RADIO! OF DEBT PLAN DUE |- Quotes Secretary to Show Practically Billion Taxes : Not Paid. \ By the Associated Press. A new quarter of the administration ——the Treasury—was singled out yes- terday by the defiant Representative McFadden of Pennsylvania for a con- tinuation of his attack on the heads of his varty. Leaving the floor of the House, where his constitutional rights grant him im- munity for anything he says there, Mc- Fadden struck out at Secretary Mellon over a radio chain broadcast. leticn of “its immediate duty” by fail- ing to collect unpaid taxes. He quoted a letter from Mellon to show there is “practically a billion dollars of unpaid taxes” outstanding in appeals from as- sessments. No mention of his recent attack on President Hoover was made ip the speech. McPFadden said he wnszsked by the National Grange, which spon- sored the broadcast, “not to talk” on war debts and reparations. Backfire Is Continued. Meanwhile, his assertions that the President “scld out” to Germany in vroposing the moratorium continued to backfire in the House. His offer of Friday night to prove his n the opportunity was taken up by a Democrat, Rankin of Mississippi. Rankin told the Republi- can side of the House that “if you do to investigate olution myself. He made the assertion in an ex- change over striking from the Congres- sional Record charges by Representa- tive Free, Republican, of California, that McFadden’s occupation wa “bribery Free had promised to elimi- nate his remarks but the Record con- tained them this morning. There was no disposition apparent among the Republican leaders to accept Rankin's suggestion St ingly unperturbed by the efforts of party leaders to mete out political punishment to him for his remarks against the President, McFadden took up his new attack with less pronounced personal castigation but with the same zeal. Sales Tax Criticized. He criticized the proposal Tre of the to impose a sales tax to raise new Government revenue with $1,000,- 000.000 outstanding in unpaid and un- Zone, constitute an irreducible min: mum. According to a War Department compilation, they represent only .35 per cent (less than one-half of 1 per cent) of the Nation's population. The comparative figures are 15.4 per cent for Prance, 106 per cent for Jugoslavia, 14.38 per cent for Sweden, 11.25 per cent for Czechoslovakia, 10.68 per cent | for Rumania, 14.3 per cent for Italy and 643 per cent for Poland. Even Switzerland, where the Geneva con- ference will be held, has 15.80 per cent of her sturdy sons under arms. $727,700,000 For Arms. Econom=c burdens of armaments—The United States visualizes the Geneva | conference primarily in terms of the heavy financial burdens of armaments. In 1930 seven great powers—Great Britain, France, Germany, Italy, Soviet Russia, Japan and the United States— spent approximately two-thirds (or | £2.958,000.000) of the world total arma- ments outlay of $4500,000,000. Of that $2.958,000.000 the American people spent $727.700,000. or roundly one-quar- ter. The Arerican delegation at Geneva will say, and will emphasize that the United States is anxious to see armaments burdens around on some equitable and rational basis. But it will point out that while our expenditure on naval and military force is the heaviest in the world, it can by no stretch of the imagination be looked upon as a menace to any country on the face of the earth. It certainly is not the standing menace to neighbors or other nations that the great armies and navies of Europe rep- resent, automatically constituting actte political problems in themselves. The American defensive establishment is utterly devoid of the political aspect which European force connotes Political aspects—America’s spokes- men at Geneva will have cast iron in- | structions not to “meddle” in purely | political questions which may erop up there — questions wholly mseparable from any sane consideration of arma- ments problems. To the extent that circumstances permit, the moral in- fluence, the good offices and the friend- Iy co-operation of our delegation will be utilized in the direction of compos- ing differences. It goes without saying that the United States Government has views of its own on the burning issues of Europe—very strong views, in fact. on some of them. It is not im- possible that President Hoover's emis- saries at Geneva will advise, as occa- sion offers. that France and Germany talk sensibly to each other on their paramount controversies; that Italy and France speak in the same accents | about their naval and colonial quar- rels; that the Poles and the Germans scrap animosities and try to settle Polish Corridor and East Prussian dif- ficulties. | “Must Bury Hatchet.” When American delegates talk tof their European co-conferees on these subject, if they do, they may be cx- pected very earnestly to reflect the Washington Government's view that reduced all; these questions lie at the root of the| Scant information available from whole armaments problem and of the their secret meeting indicated that Ger- | many and her creditors were still far| apat: |in effect, that Euro 5 3 )pe_simply has to P e o EioPed. edes | DUIY it numerous hatchets if it wants insist that the agreement leaving the | (O 8et anywhere on armaments. Wu‘l}- credits to Germany shall be continued | Int80n is not blind to the colossal dif- only three to six months. The Ger-|ficulties this conjures up—knows how mans contend tbat what they need is a | Much easier it is to suggest such a thing crushing financial question incidental to it. Uncle Sam will say at Geneva, | collected taxes. | “To establish a new form of taxation | such as the sales tax,” he said, “is to ! admit our inability to maintain a Gov- {ernment strong enough to enforce its | statutes and to surrender to the habit of tax evasion by giving a taxpayer a | new statute to evade.” He said “hundreds of millions of these | unpaid taxes are available for collec- tion if the Treasury Department does its immediate duty,” adding it would seem “the part of wisdom” to collect these taxes rather than propose new taxation Prctection of McFadden against urther attacks like the Free speech was decided upon by a group of House Pro- gressives. Representative La Guardia, Republi- can, of New York, without saving b and the other Progressives either agree | or disagreed with McFadden's criticism of the administration, asserted “there times to protect McFadden against as- saults on his integrity and rights as a member. LONG’S FOE QUITS IN LOUISIANA RACE FOR GOVERNORSHIP (Continued From First Page.) more sarcasm at his_enemy. “Cyr has withdrawn? he was running.” Dr. Cyr did not give any reason for his_action. He simply telegraphed T. A. Edways. chairman of the Democratic National Committee, that he had with- drawn and requested return of his qual- ification fee. Anti-Long leaders were reported striv- ing to get other candidates to withdraw so that a solid front could be put up against the Long ticket Dr. Cyr declined to say what candi- | date he would support and did not in- dicate whether his withdrawal would {have any bearing on his appeal from | the District Court's decision in which he is striving to unseat Gov. Long on the claim that Long is a United States | Senator and that he (Cyr) should be seated as Governor by right of his | election as lieutenant governor. Appeals Ouster Suit. The District Court at Shreveport dis- missed Dr. Cyr's suit as “no cause of action,” but Dr. Cyr appealed. In filing his suit Dr. Cyr also took the oath of Governor, which Gov. Long held vacated the office of lieutenant governor. Aceordingly, Senator Alvin O. King, president pro tempore of the State Senate, took the oath of lieuten- ant governor and has been functioning in that office since. TEXAN GETS 3 YEARS KANSAS CITY. December 19 (&) — | George Miller of Dallas, Tex., charged | with smuggling narcotics into the Fed- jeral Penitentiary at _Leavenworth, | pleaded guilty in Fedcral Court today anl was sentenced to serve three years in_prison. Miller was arrested with narcotics in his possession when he entered the Leavenworth Penitentiary more than a year ago to serve a sentence on another narcotic charge. Said he. I didn't know He charged the Treasury with dere-| will be some member of the Progressive | group on the floor of the House at all | longer period and that six months ex- tension will offer no relief. They are supported by the American delegation. Second—The Swiss and the Dutch Three Senators are seeking from President Hoover the secret reports on which the Wickersham Commission | besed a denunciation of the laws under which the famous Mooney-Billings case | was conducted as “shocking to one's sense of justice.” | All unpublished information on the' subject collected by the commission's | experts was requested in a resolution introduced by Senators Cutting, Repub- lican, of New Mexico: Walsh, Democrat, of Montana, and Costigan, Democrat, of Colorado. In a report on criminal procedure to the President last July the commission cited the case in which Warren K. Billings and Thomas J. Mooney were imprisoned for the 1916 Preparedness day bombing in San Francisco as one| in which motions for a new trial were | held “inadequate to prevent injustice.’ ‘The commission made no direct rec: ommendation that the case be re- opened, however. Recently Mayor James J. Walker of New York journeyed to San Francisco in an effort to secure Mooney's release. Senator Cutting, who presented the resolution on behalf of its three spen- sors, said he i«pected it would be adopted tomorrow. “My only interest is seeing that these reports which were prepared with the taxpayers' money are made public,” he | pif said. He added that stories have been printed and not denied that voluminous Teports on the Mooney-Billings case ‘were prepared by the commission’s ex- wan never published, " are insisting on a high rate of interest, some say as high as 8 per cent, and as the Swiss have 21 per cent of the credits involved, their word carries some weight. The Germans say such a rate would make early amortization impos- sible. Third—The Americans insist that the ultimate beneficiaries of the credit pro- advanced by the German banks. The Germans contend their industries are already so heavily mortgaged such an additional guarantee would be ex- tremely difficult. Day after day these viewpoints have continued, but thus far there has been no compromise. All hands insist, how- ever, that progress is being made and thu:t an agreement is only a matter of time. Oliver M. Sprague, American advisor | to the Bank of England, arrived late | today, but it was said officially his visii had nothing to do with the meeting of the bankers. Hold-Up Bullet Fatal to Priest. NEW YORK, December 19 Father Raphael Ferrari, dominican priest shot Thursday by a youthful gunman in a hold-up attempt at a sfcllmlhlp office, died today in a hos- tal. Father Ferrari was shot when he started to open his overcoat to show his clerical garb. His slayer and four companions fled, abandoning their purpose of robbery. »)— | than to approximate any real results. Yet American statesmanship is not ‘\\'lthaut hope that Europe's grinding | adversity may, before the Geneva con- | ference passes into history, drive her| | into_agreements that may now seem Utopian and hopeless. | One authoritative Washington pre- | diction is that the conference, opening | February 2, may still be going on in | June, because of the Freach parlia- | mentary elections in May. There might be a recess pending the outcome of the | vide guarantees in addition to those | French campaign, but it is not held at all likely here that the French, with | the key to the armaments situation | principally in their hands, will commit themselves to arms reduction until M. Laval and other French politicians, anxious for self-preservation, know their fate at the polls. (Copyright, 1931) BALKS DRUG CONVENTION Soviet Foreign Commissar Advises League on Refusal to Sign. MOSCOW. December 19 (#).—For- cign Commissar Maxim Litvinoff in- formed the Lesgue of Nations today that the Soviet government does not intend to sign a proposed international anti-narcctics convention. | . The Soviet government, he said, be- lieves the convention to be inadequate for checking the abuse of narcotics and the contraband trade in them. Soviet Russia, he added, would continue to combat the smuggling of opium and | ith:r narcotics am the basis of its own ws- SENATE APPROVAL Filibuster, Lone Possibility for Delay, Believed Unlikely. (Continued From First Page.) Gore of Oklahoma, Senator Connally of Texas, Senator Nye of North Dakota and others. Various estimates of the strength in the Senate against the resolution run ifl'om one-quarter of the Senators to | one-third. It is not generally believed, however, that the number of opposing votes will run as high as a third, and | it may be considerably less. The pas- age of the resoluiion, once it comes to a vote, is admitted even by its op- | ponents. The Senate committee made no change in the resolution passed by the House by a vote of 317 to 100 on Fri- day night. If there is no amendment |on the floor, the resolution will, as isuon as it has been passed by the Sen- ate and signed by the Vice President and the Speaker of the House, be sent to President Hoover for his approval. | The President will sign the resolution immediately, it is declared, and the | legislation necessary to make the mora- | torium effective so far as this country | is concerned will have been completed. | Ragon Section Accepted. No effort was made in committee and none is likely on the floor of the Sen- ate to strike out the fifth section, known as the Ragon section, which de- clares it to be against the policy of Congress to cancel or reduce the debts owed this eountry by foreign nations growing out of the World War. |~ The hearings growing out of the | foreign bonds and other securities in | this country by American “international bankers” will be continued temorrow | with representatives of a number of | banking and bond houses before the | Senate Finance Committee, including | Kuhn, Loeb & Co.; Chase Securities | Co. and Dillon, Read & Co. Senator | Johnson said yvesterday that there is much more to be investigated before the hearings are completed. Members of the Finance Committee | yesterday manifested great interest in the statement made by Charles E. Mitchell of the National City Bank and of the National City Corporation, in which he said that he “could not con- ceive” of the German people’s con- tinuing to pay reparations for the next 50 vears, and that it would “bring re- bellion” 'in Germany if it were per- sisted in. “Young men are going into German universities today who were not born when the war started.” said Mr. Mitch- ell. “They are told that they and their progeny must pay for a war for which they were not responsible. There is a rebellion growing up against the pay- ment of these debts.” He said that the problem was politi- cal and psychological and went far be- yond a simple question of debt con- tracted which must be paid for. “If this moratorium is merely to lay a foundation for repudiation of the payment of war debts.” interrupted Senator King of Utah, “then some of us will hesitate to vote for this mora- torium _ resolution.” Mr. Mitchell hastened to say that he was “not preaching a doctrine of deft concellation; that he was opposed to ! ncellation.” 'nator Watson suggested that if the Germans refused to pay their repara- tions, then Prance and other allied na- tions would refuse to pay their debts to this country. Mr. Mitchell admitted that he be- ieved Prance and the other debtor na tions would not pay the United States {if German reparations were discon- tinued. It was pointed out to Mr. Mitchell by members of the committee that there was Jegal and moral difference between | the war reparations exacted of Ger- | many and the debts owed this coutry by the allied nations. The latter were the result of loans of money made to France, Great Britatin and the others | by America. Senator Gore of Okla- | homa suggested that it “was a dream that these nations would be paying these debts for the next 50 years.” At this point Serator Reed of Penn- a strong opponent of debt | . asked | Question Is “Unanswerable.” “Why should the progeny of America bear all the burden of this war which was started by others?™” Mr. Mitchell replied that Mr. Reed's question was “unanswerable.” He sug- gested that an impasse was impending in the future. | Mr. Mitchell gave to the committee detailed statements of the profits made by his company in the flotation of for- eign securities in this country over a long period of years. He showed that the net gains had been about $24.756.- 000 on securities totaling about $2.332.- 000.000 floated in this cou He said that so far as he knew his com- pany had not made a loss on any of these transactions. | “But the public has lost money in them.,” a committeeman remarked. “Yes, as in all other securities.” an- swered Mr. Mitchell. “But the publie also has made profits out of these for- cign securitics.” He said that in 22 issues of foreign bonds, since retired | and totaling $425,000.000, the public has made a net profit of $44,563,000. “You must not get the idea.” he con- tinued, “that investors in foreign bonds have only made losses. I b-lieve that | they have lost less in foreign bonds. ‘gr‘nr‘mll,\' speaking, than in domestic issues in recent years.” He told the committee that many member banks of the Federal Reserve | System held these foreign bonds today. | B! i Argentina Restricts Naturalization BUENOS AIRES, December 19 (P).— Foreigners may become naturalized | citizens of Argentina after two years' | residence, provided they learn the ‘Spanish language and have no “ideas or doctrines opposed to the Argentine | form of government, under a decree | issued by the government toda Undernourished Children Easy Victims Program Tuber::ulosis In Times of Economic Stress The Good We Do Depends on You for 1932: Free Climic for tuberculous children. Home care and instruction by trained workers. Summer Camp for tuberculous children. . Occupational Therapy in adult Tuberculosis Hospitel Industrial Health Service for adult workers. Educational Publicity and information for all. Legislation for Standardized Health Services. Research work for death rate control. Our Work by Is Financed the Voluntary Purchase of Christmas Seals Price One Cent Each Association for the Preveation of Tuberculosis 122 11tk 5¢. NW, 1931—PART ONE. stars From sea | |JAPAN'S NEW MOVE |LEWIS URGES CARE = Coat of arms of the Washington fam- ily (above) and mullets picked up in the fields of Northamptonshire, Eng- land. Stars in U. S. Flag Came From Ocean, Biologist Declares Symbols of States Traced | to Origin of Arms of Washington. BY THOMAS R. HENRY. Prom the bottom of the sea instead of from the heavens, it is probable, came the stars which represent the States on the American flag Such is the contention of Austin H. Clark, biologist of the Smithsonian In- stitution, who will present his evidence in the form of an exhibit at the meet- ing of the American Association for the Advancement of Science at New Orleans during the Christmas holidays The stars of the flag. he says, are not shaped exactly like the stars in the sky. They are almost perfect repre- sentations of segments of the bodies of ‘remm ancient sea creatures. More- over, the idea of the flag stars is sup- posed to have been suggested by the coat of arms of the Washington family, and the British Museum catalogue is authority for the statement that the | designs on this insignia were inspired | by “mullets” picked up in the flelds of | Northamptonshire, England, the an- cestral home of the family of the first President. “These stars, originally formed at the | bottom of the sea,” Mr. Clark says, “liy buried in the earth for miliions of years before they were first scen by the eye of man. On the surface of the soil in the Midland shires of England there | are often found little five-sided or star shaped stones which are beautifully ar intricately sculpiured on the two fat sides. Wherever they are found they always attract attention. Usually they are regarded, or were in the past, with superstitious awe as something super- natural. Because of this awe of the on the coats of arms of the important ;;Lmlms in the regions where they were d n the language of heraldrv these stars are kncwn as ‘mullets.” Just as the littie star-. ved siones may have a central hole or be without . &0 the heraldic mullets mar be simtle with a contral hole The cost of ingtons is technically cribeg s ‘argent, three bar gules, in chief, thres mullets of the sacond. In other words it bears th ar stones “These star stones are the d:tached and isolated joints of the long stems of peculiar creatures called crimoids, or sea lilies, that live on the bottom of the sea. Those in the soil have common people they naturally appeared | DISTURBINGTO. S Ultimatum on Chinchow Is _Held Breach of Recent Promises. (Continued Prom First Page) really mean to occupy the whole of Manchuria, eventually would have to oc- cupy Chinchow. From the military point of view the occupation of that rallway knot is considered of great im- portance and the military experts could not see how the Japanese could stop at the gates of that important city if they really intended to subject Manchuria to_the rule of the Japanese Empire. ‘Their warnings, hoviever, have been unheeded by the dipiomats, who dis- regarded the military point of v stating tnat soldiers always are looking for trouble. The solemn statements of the Japanese diplomats were taken se- riously, and in an atmosphere of bliss the political men who had undertaken to settle the Japanese-Chinese dispute in Manchuria congratulated each other that the Japanese promise not to oc- cupy Chinchow could be relied upon and the rrmme of the League anc validity of the nine-power pact were safeguarded. The diplomats of this country, with a few exceptions did not actually think that the Japanese wouid abandon the idea of capturing Chinchos they hoped, however, that the Japanese would be able to make certain ar- rangements with some of the Chinese leaders to have the city handed (o them in some way or another. In any case they hoped that the occupation of Chinchow would be made in a peace- ful manner. Diplomats are incorrigi- ble optimist. 1In spite of what had hap- g:ncd since last October, they actually lieved that Japan did not wish to flaunt the public opinion of the world and that they would take the neces- sary steps to “fix up” something with the Chinese leaders so as to give an appearance of legality to the occupa- tion of that important Manchurian province. Feeling Unpleasant. Consequently the news that the Jap- anese general staff had decided to use the mailed fist gl’oduced an unpleas- ant feeling in the State Department, High officials are very reserved about what the United States Government will do when the Japanese actually oc- cupy Chinchow sometime in the course of the next fortnight. The reason for their silence is a good one: The United tates can do very little, although 1t has made the question of the occupa tion of that city an important issue b; the fact that the American Ambass: dor at Tokio has repeatedly “solemnly" warned the Japanese government against such a breach of “its solemn pledges.” The most the administra- tion can do in case the Japanese go into Chinchow is not to recognize such a “de facto” occupation and hope that the pressure of the world public opin- ion would eventually force the Japa- nese government to legalize their ac- |ton by coming to terms with the Chinese. There is a good deal of speculation in diplomatic circles in Washington as | to how the Japanese government is go- ing to explain its action in that part j of China. When the Japanese army started its j operations in Manchuria September 17 | the Tokio government had a fair alibi | Chinese brigands had allegedly biown up certain sections of the southern ;.\Ianchurmn railways. When the Jap- anese troops continued their march | northward and occupied Tsitsihar, Am- | bassador Debuchi explained that that action was forced upcn the Japanese ;hecause some railway bridges had been | blown up and the party of enginee: |sent to repair them was attacked b \the Chinese general, Mah. who disre- | garded an agreement the Japanese con- | sul had made with the Chinese authori- | tes to aliow the Japanese engineers to | work. Assured Withdrawal. Mr. Debuchi assured Mr. Stimson, Rowever, that as soon as the repair work was completed the Japanese trcops and engineers would be with- wn. He even went so far as to fore- cast that inside of a fortnight the Jap- anese troops would be out of the Tsit- sihar district. In any case the Amer- ican Government and the members of ! the League of Nations Council were willing to accept any alibi of the Jap- anese government because, it was said after all the Japanese have important economic and nation; section of Manchuria and it is only natural that they should do their ut- m st to safeguard them But nobody can see what explana- tion the Japanese government can offer for the occupation of Chinchow. The | railwavs which are possing through | that town are Chinese built and Chi- nece operated lines. The Japanese sphere of interest” never extended as far as that city and the statement that | military operations are necessary to ! insure the flanks of the Japanese Army ' against attacks of organized bandits fare flatly denied by the neutral mili- tary observers who are at present in |the Chinchow area. No bandit or- | ganizations or activities are reported | interests in that | | | between Chinchow and the Chinese come (‘,‘sfsfll‘a"m“:a_:-tl‘;‘pg:“n lived In the | wall, The bandit activities which exist whith now Is turned 1o stone and Las|At Present on a small scale between been lifted above the surface of the|Chinchow and Mukden are efficiently ses. They have been freed from the | taken care of by the Japanese troops rock and separated from each other| Consequently, there seems to be not by the disintegration of the mlrgugh the action of rain, heat and co unusually heavy skeleton they are|draw beyond the Chinese wall and readily preserved as fossils and great | Surrender the city of Chinchow to the numbers of fossil kinds are known. | Japanese Army. unless it is the old Usually the most solid portion of the |adage that “might is right. nese could bring forward to justify rock | A single plausible argument the Japa- | Because thesé creatures have an | their ultimatum to the Chinese to wit:- | creature is the stsm, which may be many yarcs in length, so that crinoid stems and stem joints are among the WEEK'S LIMIT EXPECTED. commonest of fossils. b‘(;P:O'I;U‘O(;" present S(in]s weredknc\\'n; livered at Any Moment. aboul inds of sea lilies, and many more remain to be discovered. They| TOKIO, December 19 (#.—An ulti- live in all seas everywhere. from th> matum calling on China to withdraw ool o Fo e Of apout 32 her troops from Chinchow. Manchuria, stems throughout life. These have| Within & week was momentarily expect- stems of various kinds, with joints long | ed today from the Japanese govern- or short, circular, pentagonal or sharp- ment. | Evacuation Ultimatum May Be De-| ly star-shaped. At present those with star-shaped stem joints are to be found only in the Caribbean Sea and Gulf of Mexico, among the Malayan Islang: and along the coasts of Eastern Asia. In America star stones are quite un- | common, being known from only a few i localities in the West and extreme Northwest, “The history of the stars on our fla which have risen slowly upward froi complete obscurity at the bottom of the then been raised aloft, is curiously par- allel to the history of the great idea of Tepresentative democracy which was completely suppressed in early times, then dormant in men's imaginations, now raised aloft and in full flower.” The stars on the flag, Dr. Clark says, pever are referred to in the heraldic lan- guage as “mullets,” although they have | kin, the exact form of the star stones and there is no absolute certainty that the Washingon coat of arms is the basis of the flag d Approximately 50 Washington scien- tists are scheduled on the program of the- American Association _meeting through the week beginning December 28. Besides Dr. Clark's exhibit there will be extensive exhibits by the De- pariment of Agriculture and the Car- negie Institution of Washingion. Wash- ington institutions to be represented speakers are the Bureau of Standard: the. Public Health Service, the Smith- sonjan Institution, the Brookings In- stitute and George Washington Uni- versity. Amang the features of the scientific sessions will be o,nAmeunm disorders . A. Moss of George ,.in which several participate, * sea to the surface of land and have | | Gen. Honjo, commander of Japan's |Manchurian forces, will inform the | Chinese command that he will be forced | to use drastic measures if the notice to !evacuate is ignored, it was authorita- tively understood. At the same time, the Japanese lega- | tion at Peiping will set forth the with- drawal demand to Chang Hsueh-Liang. d-posed governor of Manchuria The Japanese anthorities have fre- | quently declared their troops were men- | iaced by Chinese units massed at Chin- | ,chow, and Premier Inukai said shortly after taking office that Chang must re- move his army from the area. ‘The Chinese Minister, Chang Tso-Pin, conferred for an hour with'the premier today preparatory to returning to Nan- g. He is scheduled to return to Tokio in two weeks, the minister's sec- retary said. ‘The minister’s visit to the premier was the first direct contact of the sort for two months, as the Nanking govern- ment had instructed its representative to_discontinue his Tokio conferences Mukden dispatches told of several en- gagements between Japanese troops and bandits. and renort>d that preparations were being rushed for a drive against irregulars in the vicinity of Hsinmintun. S Catalonian Governor Quits. BARCELONA, Spain, December 19 of Cata- owing to opposition nians. He recently was mentioned as a possible choice of Ambassador to Vat- ican City, INDEBTS DECISION Senator, in Forum Address, Says U. S. Future Is at Stake. Upon the course which the United States adopts now with respect to its debtor nations will depend, in a large measure, its future position in the world’s respect and friendliness, Sena- tor J. Hamilton Lewis, Democrat, of Illinots, declared last night in the Na- tional Radio Forum, arranged by The Star and broadcast over a Nation-wide keook-up of the Columbia Broadcasting 0. Senator Lewis prefaced his brief ad- dress with the assertion that he felt constrained to withhold certain opinions in the radio address which he wonld otherwise “take pleasure in voicing” be- cause of the scheduled discussion in the Senate tomorrow of the interna- tional debt situation. Praises Secretary Mellon. Senator Lewis did, however, address himself to the debt situation from the “standpoint of the debtor and from the standpoint of the creditor.” At the out- set of his speech he praised Secretary Mellon “for the way in which he ex- plained the debt problem from London,” asserting that since the money loaned nations was taken from the people, “the Government of the United States, bureau and department heads of the Government and officers of the Gov- ernment cannot say they are willing to | cancel those deb Only the people ancel them, he as- Discussing debt cancellation from the viewpoint of the debtor, “as though 1 were speaking in his behalf,” Senator Lewis contended that if the United States were to cancel the obli- gations due it, the natiors thus excused would find themselves in a position in which they could not ask again for credit. Further, he said, other nations would hesitate to loan to nations whose debts had been canceled Cancellation of debts owed by “three or five" of the leading powers, Senator Lewis said, would force the United States to adopt a policy of cancelling all debts. Sees Danger in Course. “If we should decline to cancel all other nations’ er relieving the | leadir igations,” the t place our- position of playing fa- vorites, and that charge cert. would | be made against us. other years, her nations the “same for cancellation, we wouid make enemies unless we bowed to those | demands in acc: ith the course | of action w h re- T POWers now ance of wise de- cision in the present debt-cancellati problem, Senator Lewis declared the future position of the U in the world depends upon the course followed now | nation | now 1s’ the i : t0 | follow we st ! the mora. | and all u | Senator | Qliver ow | The | natia | or by Eur {mand that the down_their debts | Mr. Kuhn's introc | asserted it was not & { bate “the morality of ca { ternational debts | been done an, "PRINCETON STUDENTS ' HONORED BY ALUMNI | Luncheon Is First of Series of An- | nual Affairs for Under- cellation of in- That, he said, had d would be done again graduates. | The first of a series of annual lunch- eons in honor of the undergraduates of Princeton University was held yes- terday by the Princeton Alumni Asso- ciation of the District of Columbia at the Racquet of Birmingham 1 airman of the n, campus publication, speaker. E also snoke ner of the pionshir, on Masaru is a sophomore at Prince- ton. Col. Courtland Nixon, the association, presided \VOTE ON REFORMS | IN SPECIAL ELECTION IRKS GOV. MURRAY president of (Continved From First Page.)_ bills would have provided for revision of income tax laws, free escheat of certain corporation lan change in budget preparation mett The plainsman executive and friends watched anxiously during the day as turns filtered in from the rural where the Governor | found the strength for his mcasures. Despite muddy roads, rural boxes, re- ported late, reduced the averags lead | against the bill from 55000 this morn- | Ing to 40.000 late today Many farmers had heeded Murray's | advice to “swim the creeks and ride the mules” to the polls. The tax ibill, reducing levies on little incomes, got the most “yes” Whil: Murray rem2ined silent as to future plans, followers of the Governor watched with interest the eff defeat on a move to p! name before the next Net cratic Convention as a c: his precincts votes legal regis Countics, whether there, The Citizens' League, opposing the measures, announced it would ask the State Supreme Court to dismiss protest actions pending ogainst the bills at the time they were submitted to an election. Gordon Bierer, attorney for the league, also said he would seek dismissal of a suit to restrain pay- ment of election expenses. | _Issues, Bierer said, were decided at y submitted his bills veople after a deflant Legis! Spring had turned his pros Threatening to “call the r Senators who opposed him, M nounced he would “ and let the peop's Three of the tions he originally are in litigation in where Murr but s he would contest the vo to the | i 17 cubmit The three, limiting ad valorem tax- ation, providing for {arm-to-market highways and curtsiling wheat and cot- ton acreage, must be voted upon at & forthcoming election, Murray said.